Umalis Group

Wage portage

Wage portage

Definition and Benefits

Wage portage, an innovative, simple and secure concept

Wage portage is based on a set of tripartite contractual relationships organized between:

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An individual

Independent worker, expert in his field, able to find himself well paid freelance missions and to negotiate all the modalities of intervention.

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A client company

Needing a qualified expert to carry out short-term missions.

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A salary portage company

Intermediary between the consultant and the companies for which he provides services. These structures propose to convert the fees of their employees into wages.

Halfway between the independent regime and the classic employee regime, wage portage appeared at the end of the 1980s as a solution to modernize the labor market. An atypical and innovative solution that allows self-employed workers to be paid as if they were employees of a company.

Dedicated to expert and independent consultants, the wage portage allows its professionals to exercise an independent activity by relieving themselves of most of the constraints related to the creation of a business, while having the  advantages of salaried employment . This approach constitutes a balanced and advantageous alternative for consultants, which combines the advantages of salaried employment   and the autonomy of entrepreneurship.

Recognized and regulated by the ordinance of April 2015, since March 2017, wage portage has been a fully-fledged professional branch. A major step forward for an efficient and buoyant sector and a considerable advantage for professionals who are more and more numerous to be attracted by this flexible and secure status.

In fact, the consultant offers his services to a client company to carry out a one-off assignment. Once the negotiated mission is granted, he delegates the management of all the administrative tasks generated by his activity to the umbrella company.

An employment contract  formalizes this relationship between the ported employee and his employer, which is none other than the porting company he has chosen. The latter concludes a service contract with the client company and sends it an invoice for fees equal to the agreed amount. It collects the fees and pays them back in the form of salary to the paid employee, after deduction of social charges and a commission for management costs.

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Legal definition

Article L1254-1 of the Labor Code provides that “Wage portage is a set of contractual relations organized between a portage company, a person carried and client companies comprising for the person carried the wage system and the remuneration of his service to the client by the portage company. It guarantees the rights of the person relating to its customer contribution” .

How wage portage works

Everything becomes much simpler with wage portage

The  portage  is based on a mode innovative and flexible operation that involves the intervention of three players whose relationships are established through regulatory labor contracts.

It is, in fact, a simple device where the  independent consultant , considered as an employee of the umbrella company, is responsible himself for prospecting his missions and negotiating with the client the various elements relating to the intervention (fees , objective, duration, conditions …). The consultant retains full control of his work.

As soon as a verbal agreement is concluded with the client, the consultant contacts the portage company which is responsible for putting in place all the organizational elements necessary for the conduct of the mission. The consultant will ensure its execution and will be remunerated in salaries.

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1st Step

  • Commercial prospection
  • Negotiation
  • Intervention
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2nd Step

  • Administrative management
  • Support
  • Invoicing
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3rd Step

  • Salary
  • Satisfaction
  • Loyalty

For its part, the portage company will take care of the management of administrative, legal and fiscal formalities related to the service provided by the consultant, in particular:

  • Establishment and follow-up of invoices,
  • Social and tax declarations,
  • Payment of fees,
  • Debt collection.

The wage portage company  will allow the consultant to receive not these fees, but a remuneration in the form of salary established according to his net turnover, after deduction of charges and a commission corresponding to the management fees. .

To formalize this tripartite contractual relationship, the wage portage company establishes:

A service contract

also referred to as an assignment contract with the client. This contract includes all the terms of the negotiation between the consultant and his client.

An employment contract

with the consultant, who thereby becomes an employee of the umbrella company and benefits, thanks to this contract, from all the advantages granted to the employee under the traditional scheme.

In return, the consultant, within the framework of the relationship of subordination instituted by this employment contract, must deliver to the umbrella company a report on the smooth running of the mission he is carrying out for his client.

Benefits of wage portage

Benefits of Wage Portage

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Benefits of wage portage for business

Wage portage, the ideal solution for your specific needs for experts and qualified professionals

In an increasingly fragile and uncertain economic context, many companies seek to outsource and subcontract part of their services or projects. Their objective is to minimize the costs due to recruitments while benefiting from the skills of qualified experts.

The use of wage portage to meet specific occasional needs is now the most obvious solution.

This flexible and secure alternative allows the client company to call on freelancers or independent consultants to carry out one-off assignments without having to recruit them within the company. They intervene as paid employees and are paid only for the tasks performed.

Even if the needs of society are sometimes complex or very specific,wage portage is the adequate solution since it offers the advantage of choosing profiles from a national network of experts with recognized skills.

Wage portage is indeed the ideal solution to ensure the development of a company, improve its productivity and increase its turnover.

However, the use of this device is now much more regulated since the new government ordinance issued in April 2015 . This ordinance stipulates that the client company can only use wage portage for occasional tasks that do not fall within its normal and permanent activity, or for specific tasks requiring expertise which it does not have internally.

The benefits of wage portage are nonetheless numerous for client companies, in particular:

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Flexibility in human resources

  • Manage the assignment of personnel according to the needs of the company,
  • Facilitate the study of variations in employee activities,
  • Optimize the recruitment task within the company.
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Flexibility in management

  • Simplify administrative, accounting and legal management,
  • Avoid links of subordination,
  • Facilitate the allocation of research and staff training costs,
  • Reduce fixed charges.
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Control of subcontracting

  • Control your budget statement,
  • Outsource adequate tasks,
  • Harmonize subcontracting conditions,
  • Set a flat rate for access to skills.

Wage portage and interim

Unlike the interim, wage portage offers full autonomy to the consultant

Wage portage  is not the only way for a company to use the mechanisms of temporary work, other alternatives exist, namely temporary work.

Wage portage  and temporary work are two very distinct concepts in the world of work that can sometimes be confused.

Temporary agency work was designed for the benefit of employers looking for advanced skills to carry out time-limited activities. While  wage portage  was born from the need for unemployed executives   to  find assignments .

These two forms of employment are based on a common legal aspect ”  the employee status  ” and yet differ in substance.

“A comparison between porterage and interim is necessary.”

Here are the main differences between wage portage and interim status in the table below :

Wage portage
Employer
Wage portage company
Subordination link
The supported employee is autonomous with the possibility of working jointly for several clients at the same time.
Type of Contract
Wage portage contract
Employee profile
Anyone with the right to work
Compensation basis
Depending on the negotiation of the scope
Interim
Employer
Interim company
Subordination link
The employee is subordinate to the hierarchical superior of the position he occupies in the client company.
Type of Contract
Interim contract
Employee profile
According to the needs of the company
Compensation basis
According to the company’s salary scale

Wage portage contracts

Since its integration into the Labor Code in 2008, wage portage has adopted specific regulations which clearly organize all the contractual relations between the employee, his client company, and the portage company.

A simple and advantageous system, governed by two types of contracts:

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Service provision contract

It is a contract of a commercial nature, concluded and signed between the  carrier company and the client company
This contract determines:

  • The nature of the service to be performed
  • Remuneration and terms of payment
  • The foreseeable duration of the serviceThe various conditions mentioned in this contract have been negotiated beforehand between the client company and the employee.
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Employment contract

Concluded between the porting company and the supported employee, it can take the form of a full or part-time CDI or CDD. This contract will allow the consultant to benefit from all the advantages of wage portage.
This contract determines:

  • The expiry date for a fixed-term contract,
  • Calculation and payment of remuneration, business contribution allowance, social and fiscal charges and management fees
  • The skills and qualifications required
  • The terms of paid leave, length of the trial period, etc.This contract does not induce a relationship of subordination with the umbrella company. The principal remains your customer.

Get started safely with Umalis Group !

INTERNATIONAL WAGE PORTAGE

Umalis internationally, tailor-made professional support !

Wage portage abroad is a flexible and advantageous solution for any independent consultant considering expatriation.

Thanks to this recognized and secure status, the expert has the possibility of carrying out the missions he has obtained abroad without losing the benefit of French social protection.

Umalis Group, a specialist in wage portage for many years, supports your activity as a consultant for missions throughout France and abroad. As an expert and recognized company, Umalis gives you the opportunity to intervene, in complete safety, with your international clients, to export your know-how and to enhance your professional experience without worrying about the administrative constraints linked to the status of independent.

In order to secure your mission abroad and ensure you the best income, Umalis provides you with the skills of its team of highly qualified advisers who:

  • Successfully intervene to help you negotiate the terms of your contract, guarantee your rights and social benefits just like an employee working in France.
  • Take charge with professionalism of all the legal, administrative and fiscal procedures of your assignment contracts.

Umalis is the trusted company that will be able to support you in complete safety and transparency in carrying out your missions abroad.

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